Exercise 5 (LO 1, 2, 3, 4) Private universities, endowments. Record the following endowment activity events of Private University: 1. An alumnus donates $250,000 to the endowment fund. The cash is fully invested in bonds with a face value of $242,000 that are purchased at an $8,000 premium. The income earned is to be available for the current restricted fund for curriculum improvement. 2. A check for $11,250 for interest is received. The premium amortization is $667. 3. The income is transferred to the restricted current fund. 4. The bonds are sold for $260,500